Wong’s Kong King to Liquidate Loss-Making PRC Plastic Manufacturing Unit

Wong’s Kong King International (Holdings) Limited ( (HK:0532) ) has provided an update.

Wong’s Kong King International (Holdings) Limited has announced the voluntary liquidation and deregistration of Dongguan Nissin Plastic Products Co., Ltd., an indirect wholly owned PRC subsidiary engaged in manufacturing plastic products mainly for export, after years of continuous losses. The company expects a one-off restructuring charge covering severance, shutdown-related expenses and inventory write-offs, but notes that Dongguan Nissin represents less than 5% of the Group’s total assets and revenue and therefore its exit will not materially affect overall operations; instead, the move is aimed at cutting losses, reallocating resources and management attention to stronger existing businesses, and positioning the Group to pursue new opportunities, with the subsidiary’s financials to be deconsolidated upon completion of the liquidation.

The most recent analyst rating on (HK:0532) stock is a Hold with a HK$0.50 price target. To see the full list of analyst forecasts on Wong’s Kong King International (Holdings) Limited stock, see the HK:0532 Stock Forecast page.

More about Wong’s Kong King International (Holdings) Limited

Wong’s Kong King International (Holdings) Limited is a Bermuda-incorporated investment holding group listed in Hong Kong, with operations that include manufacturing activities in the People’s Republic of China. Through subsidiaries such as Dongguan Nissin Plastic Products Co., Ltd., the Group has been involved in producing plastic products primarily for export to overseas markets.

Average Trading Volume: 239,706

Technical Sentiment Signal: Sell

Current Market Cap: HK$237.2M

For a thorough assessment of 0532 stock, go to TipRanks’ Stock Analysis page.